India’s Data Centre Surge: $30 Billion Investment Pipeline to Fuel AI and Cloud Growth by 2030
India’s digital infrastructure is entering a transformative era, with the data centre sector poised for a massive influx of capital and capacity. According to the latest Cushman & Wakefield India Data Centre H1 2026 Update, the country is witnessing an unprecedented expansion driven by the rapid adoption of cloud computing, artificial intelligence (AI), and extensive enterprise digital transformations.
A Massive Capacity Pipeline
As of the first half of 2026, India’s seven primary data centre hubs boast an operational capacity of 1,789 MW, following a successful H1 that saw 178 MW of new supply added to the grid. This footprint now encompasses 147 facilities managed by 33 diverse operators.
The long-term outlook remains overwhelmingly positive. Market projections indicate an additional 3,860 MW of supply by 2030, a figure that includes projects currently under construction as well as those in the planning stages. Despite this rapid scaling, the sector maintains a healthy colocation vacancy rate of 14.9%, signalling that the market is effectively absorbing new infrastructure while preparing for future demand.
India’s Role in the $280 Billion APAC Transformation
The expansion in India is reflective of a wider trend across the Asia-Pacific (APAC) region. Forecasts from Cushman & Wakefield’s 2026 Asia Pacific Data Centre Investment Landscape report suggest that total regional capacity will grow by 2.7 times by 2030. To facilitate this, the APAC region is expected to require over $280 billion in capital expenditure.
India stands out as a critical pillar of this growth, with an estimated $29.9 billion in development capital required to reach its 2030 targets. With a ratio of approximately 825,333 people per megawatt of operational capacity, India remains significantly underpenetrated compared to its regional peers, offering immense headroom for investors and developers.
Decentralising the Digital Hub
While Mumbai continues to serve as the nation’s primary data centre anchor—boasting 890 MW of current capacity and a robust development pipeline of 1,726 MW—growth is increasingly spreading to secondary markets.
Hyderabad is rapidly emerging as a preferred destination for hyperscalers and AI-focused infrastructure, supported by a significant upcoming supply of 710 MW. Similarly, Chennai continues to leverage its strategic subsea connectivity, while Delhi NCR is seeing a surge in demand fueled by public sector digitization and rising enterprise cloud needs. Pune, Bengaluru, and Kolkata are also recording steady gains, with each region carving out a niche in the country’s evolving digital map.
Strategic Outlook for the Decade
Reflecting on the market’s trajectory, Gautam Saraf, Executive Managing Director, Mumbai & New Business at Cushman & Wakefield, highlighted that the sector’s strength lies in its deepening maturity.
“The expansion of India’s data centre ecosystem is marked by a more diverse mix of operators, occupiers, and geographical locations,” Saraf noted. “With nearly 3.9 GW of capacity in the pipeline, the market is building a resilient foundation to support the next wave of AI and data-driven economic growth. As India claims a significant share of APAC’s future capital deployment, it is clearly cementing its position as a strategic hub in the global digital infrastructure landscape.”
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